Gov. Beebe: Shutdown Will Affect Economy

10/01/2013 06:22 PM

10/02/2013 03:32 PM

Governor says even if you're not furloughed, everyone will feel the effects of the shutdown soon enough.

LITTLE ROCK, AR -- The government shutdown will affect more than just government employees, according to Governor Mike Beebe, who says even if you're not furloughed, everyone will feel the effects of the shutdown soon enough.

"They're not paying sales tax because they're not buying stuff. They're not getting a paycheck so there's no withholding. That will ultimately affect everybody else that is not federal. It will effect restaurants, gas stations, clothing stores. It will effect the economy all the way up and down the line," Beebe says.

The governor also says the amount of state employees affected by the shutdown literally fluctuates hour to hour, as Washington D.C. tells Arkansas what programs are and are not affected.

At close of business Tuesday, the Department of Finance and Administration had received reports from 12 state agencies for a total of 955 furloughs. The National Guard also reported an additional 900 furloughs, bringing the total to 1,855.

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